Comparing pricing models: Interchange vs. Blend
You’ve already negotiated payment fees with Adyen (your buy rate). Now it's time to decide how much you’d like to charge on top of that buy rate, and what to charge your users (the sell rate).Â
There are two key ways to price your embedded payments offering:
Interchange++ (or Interchange Plus Plus)
BlendÂ
These are the two most widely used pricing models for card transactions. The main difference between the two is transparency.
Interchange++ shows a detailed breakdown of the three payment card costs: the acquirer markup, card scheme fee, and interchange fee:
Acquirer markup: Charged by the acquirer for acquiring the funds from your users shopper
Card scheme fees: Charged by the card scheme for using its network
Interchange fee: Charged by the cardholder’s bank
The Blend model charges an average processing cost plus a fixed markup. You charge the same markup for every transaction, and your users can’t see the split of the costs.
Both pricing models provide advantages against pricing contracts typical of banks or legacy payment providers, which often advertise an affordable transaction rate but include either monthly or hidden fees.